The high electricity and gas prices have consequences for the companies. Manfred Gerger, chairman of the Burgenland regional group of the Federation of Industrialists (IV), warns of the consequences.
Lenzing in Heiligenkreuz has already had to reduce production due to energy prices. Gerger warns that this could also be the case with other companies.
countermeasures needed
“A tenfold increase in gas prices and a sixfold increase in electricity prices within a year is shaking the economic survival of domestic companies. Production restrictions, relocations and unemployment will result if countermeasures are not taken quickly,” said the IV boss.
There are companies whose energy costs have increased from one to twelve million euros. The steel, cement, chemicals, paper, aluminum and aviation sectors are particularly affected by the absurdly high gas price.
Actions in the EU
So more emergency aid from the state will be needed, liquidity boost for companies and possibly a wave of short-time working. But also at European level, measures are needed in the electricity market and in joint gas purchases.
Industrial companies have been trying to switch to sustainable energy for a long time. But approval procedures, for example for photovoltaic systems or network capacities, are inhibiting factors. Moreover, this transformation is costly, making the companies dependent on money from the banks.
annoying subject
Another problem: the replacement of gas in the production processes is not yet possible everywhere. “The issue of the security of gas supply will therefore keep us busy for years to come,” says Gerger.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
